In this occasional feature, the National Post tells you everything you need to know about a complicated issue. Today, Natalie Alcoba takes a look at heritage designations for old buildings, a topic that surged to the forefront after a downtown structure sat vacant and in disrepair for months until burning to the ground Monday.

Q: How is a building designated heritage?

A:

Since 1975, properties or districts in Ontario have been handed special status for cultural heritage value or interest under the Ontario Heritage Act. Property owners must obtain a permit from the municipality to undergo any changes to the heritage property, or to demolish it. A property can also be listed on the city’s Inventory of Heritage Properties, which provides less protection. There are about 8,000 listed properties in Toronto, 4,500 of which are designated under the Ontario Heritage Act.

Q: What protection does either a listing or a designation confer?

A:

The provincial government strengthened the Heritage Act in 2005, so that municipalities can refuse a demolition permit for a property that has been designated. Previously, owners could wait for six months and then automatically have the right to knock a building down. Under the new system, owners can appeal the city’s decision to the Ontario Municipal Board, which will rule on whether or not to demolish. “Listing” a property on the inventory allows the city’s heritage preservation services department to review development and building applications for those properties, and also demands that an owner give the city a 60-day notice of an intent to demolish.

Q: Once a building is deemed heritage, who pays to maintain it?

A:

Largely, the owner. Toronto offers heritage grants that cover up to half of the estimated cost of eligible heritage conservation work and some can receive a 40% rebate on property taxes. But Catherine Nasmith, past president of the Architectural Conservancy of Ontario, said the incentives — in 2009, the grants budget totalled $259,000 — are not nearly enough to ameliorate the often costly upgrades that turn-of-the-century structures require. A heritage property owner has to preserve the features that make the building special, maintaining the design and using the same type of material. Sometimes, owners will resort to “demolition by neglect” by allowing buildings to rot. “There are buildings sitting in prime locations in a disgraceful state of repair,” said Paul Oberman, who has overseen acclaimed restoration projects, such as the Summerhill LCBO, as president and CEO of Woodcliffe Corporation. He believes the current “ad hoc” tax rebate program needs an overhaul. The limited financial relief is a “disincentive” for people to spend the amount of time and money required to do the job properly, said Mr. Oberman. Offer annual rebates to buildings that are kept in exemplary condition, he argues, and rents would increase, property values would spike and the city would reap more property taxes. “The preservation of that building and that work of art is a public good, and the public has to meet that onus halfway,” said Ms. Nasmith.

Q: How is the act working?

A:

Karl Jaffary, a lawyer with an expertise in heritage issues, said the act, while stronger, is still “susceptible to manipulation in several ways.” He says some “remarkably common” buildings are afforded heritage, while other unique ones are not. “There have been cases where designation has been done at the expressed desire of a councillor who is trying to make a constituent happy,” he said. In 2004, Mr. Jaffary represented Diamond Peak Holdings, the owner of a low-rise 1915 apartment building on Howard Street, near Bloor and Sherbourne. Under threat of demolition, the city designated the property as heritage. Mr. Jaffary said his clients wanted to demolish the property so they could sell off parcels of vacant land. The city objected because it didn’t know what would go there instead. The city was “not prepared to consider the fact that some owners simply don’t want to do plans, it’s very expensive, and they didn’t want to build. They wanted to find somebody who would build,” said Mr. Jaffary. In the end, the building was so unsafe it came down anyhow.

Q: Can the city compel an owner to maintain a building that has been deemed heritage?

A:

Designated heritage buildings are subject to enhanced property standards regulations. The city can order repairs, which owners can appeal, or issue fines. It can also take the an owner to court, but Mary MacDonald, acting manager of heritage preservations services, says most municipalities don’t have the time or money to launch legal action. Critics say there are not enough enforcement officers to keep on top of properties, and heritage preservation ends up being a reactive, instead of proactive, venture. When 335 Yonge Street, the building that went up in flames this week, was purchased, it was not designated a heritage property. Last April, a portion of its front wall collapsed. The city made it a heritage site some five months later, refusing an application by owners to have the building demolished. A lawyer for the owners said they had solicited bids for the work required to maintain what remained of the building’s facade. The owners were scheduled to meet next week with the local city councillor and the deputy chief of building inspections.

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By clicking "Create Account", I hearby grant permission to Postmedia to use my account information to create my account.

I also accept and agree to be bound by Postmedia's Terms and Conditions with respect to my use of the Site and I have read and understand Postmedia's Privacy Statement. I consent to the collection, use, maintenance, and disclosure of my information in accordance with the Postmedia's Privacy Policy.